Sir: Chatham-Kent municipal Corporation continues to make taxpayer funded investments that continue to end in taxpayer liability, when continually given evidence not to.
Municipalities should not be in the investment business. They are hired by taxpayers to prudently manage to create dividends, not to mismanage to create liability. The Bradley Centre, with hundreds of thousands of dollars in net annual losses; the Industrial Park, which accumulated a $20 million total to date loss; the Capital Theatre, having a total provincial and municipal gross loss of about many millions, not the skimpy losses generally reported; Kingston Park with a $2 million overrun in costs; taxpayer funded annual municipal wage and pension payout of about $138M, with only about $146 million in general annual revenues.
If I understood the recent clouded, scattered and incomplete municipal budget correctly, C-K has nearly $40 million in interest payments on such capital projects. Canada-wide, taxpayers are paying about $62 billion and $11 billion annually just to service the debt of Canada and Ontario respectively. All of day-to-day cash of government operations come from the private sector, you and I, but yet, governments continue to financially rape their only source of income by introducing about 120 taxes on everything we do, on every nickel we earn, and continue to make irresponsible and fool hardy investments that never comes out of their pocket book, only ours.
The Provincial Green Energy Act, paving the way for wind turbines, created a 70-per-cent hike in electricity costs, costs consumers an extra $37 billion, and under the Auditors report will cost us an additional $133 billion by 2032.
The auditor’s report confirms for each wind energy job created, three Ontario jobs are lost. The mayor supports wind turbines, and his short sighted thinking makes Chatham-Kent nickels and dimes, while the province is losing billions, whereby billions have to be made up by taxing us more to make up the losses.
Recently, C-K council approved an $8-million investment in wind turbines, cited by the mayor to give us an $11-million profit after 20 years, which will keep taxes down. This thinking is worse than a migraine and mirrors how the province manages tax dollars. More specific to the wind turbine investment. C-K will become “common” shareholders in 15 per cent of a foreign company, meaning if the company dissolves or liquidates or reconstructs itself we as “common” shareholders lose all to preferred stock holders, bond holders, creditors, etc., not to mention if no profits are realized due to provincial or legal intervention. $8 million from reserves invested with compounding interest could give us up to $15M after 20 years without risk. Taking money from reserves means we have to replenish it, either by cashing in bonds, creating higher taxes, reducing infrastructure investment or by other means.
We have reserves for good reason.
If any dividends were realized from the turbine investment taxpayers won’t see a dime nor will any reduction in taxes be apparent. C-K will create a separate corporation, under the Business Corporations Act, RSO- 1990 for this manoeuvre, transferring same to Entegrus, which disallows taxpayers, although it’s all your money, to not know what’s going on, unless Entegrus/Corix wishes you to.
Additionally, Entegrus is courting to grab up to $30 million more from Chatham-Kent taxpayers for future investments with private companies.
Companies like Entegrus are more inclined to use investment income as an indirect way to feed their own wages, pensions, travel, perks and allowances, office upgrades, company vehicles etc., before any benefit is given to the taxpayer.
Furthermore, having Chatham-Kent a wind turbine investor, how the hell can council and our municipality speak against the turbine company respecting any legal action, public safety liability or other?
John Cryderman
Chatham
